That's an extreme example. But you'll agree with me that regardless of who you are, a N5 million watch is a luxury. You'll probably need to tell people that it costs that much before they'll even notice. You could buy a good Range Rover Sport 2006 at that price.
Yet Rolex makes about 2,000 watches per day and people buy them. Definitely some billionaires and millionaires, but also some regular guys. For some people that Rolex watch is their ladder to a career upgrade. And that is what I intend to explain in this post -- not all luxury expenses are worth cutting.
I have come across a few guys who are very good at saving. They could save on a minimum wage salary. But they pay for it in ways they do not intend. They are dressed shabbily; they don't eat well; they live like paupers yet they have a fat bank account. And occasionally I wonder: who are they saving for?
Some expenses aren't worth cutting. Don't cut down on the quality of food you eat. Good food also cost much. Meat is not cheap. Fruits are expensive. A balanced diet is an expensive diet.
Dress well. Wear good shirts, good clothes, good shoes and a good body spray. When it comes to clothing, only cut down on dry-cleaning. Don't start buying cheap.
When you're trying to save more, be careful with expenses that relate to food, clothing and shelter. You could reduce your frequency of eating out and make most of your meals; you could take opportunities of sales discounts and start hand washing your clothes; and you could get your sisters/in-laws to help with house indoor decor rather than paying someone else for it. But never cut down on the quality of food you eat; never cut down on the quality of clothes you wear; and don't live like a fugitive just to save money.
You will always see people living on less than half of what you live on per month. An evidence that you've got luxury expenses. Examine all your expenses, but remember that all luxury expenses aren't worth cutting. You wouldn't want to look like an 80 year old man at the age of 50. Looking your best, internally (health-wise) and externally (impression-wise), requires a few luxury expenses.